Printable Form 2026

IRS Form 13930 – IRS Forms, Instructions, Pubs 2026

IRS Form 13930 – IRS Forms, Instructions, Pubs 2026 – In today’s global economy, nonresident aliens (NRAs) such as entertainers and athletes often perform services in the United States, earning U.S.-source income. However, this income is typically subject to a flat 30% withholding tax under U.S. tax laws. To alleviate this burden and ensure withholding aligns more closely with actual tax liability, the IRS offers the Central Withholding Agreement (CWA) program. At the heart of this process is IRS Form 13930, the Application for Central Withholding Agreement. This SEO-optimized guide explores everything you need to know about Form 13930, including its purpose, eligibility, application steps, and more, based on the latest IRS guidelines as of 2026.

What Is IRS Form 13930 and the Central Withholding Agreement?

IRS Form 13930 is the official application used by nonresident alien individuals—primarily artists, entertainers, and athletes—to request a Central Withholding Agreement with the IRS. A CWA is a specialized agreement that allows for reduced withholding on U.S.-source income, basing it on projected net income at graduated tax rates rather than the standard 30% on gross income.

Under Section 1441(a) of the Internal Revenue Code, withholding agents (such as promoters or venues) must deduct 30% tax from payments to NRAs for services performed in the U.S. However, through a CWA, the IRS can agree to a lower withholding rate if the NRA meets specific criteria outlined in Revenue Procedure 89-47. This ensures that the withheld amount doesn’t exceed the anticipated income tax liability, providing financial relief and better cash flow for performers.

The form itself, revised in September 2022, includes detailed instructions on eligibility, required documentation, and submission. It’s particularly useful for those planning multiple U.S. events, as separate CWAs may be needed for activities spanning different calendar years.

Who Should Use Form 13930?

Form 13930 is designed for nonresident alien entertainers and athletes who:

  • Perform independent personal services in the U.S.
  • Expect to earn U.S.-source income subject to withholding.
  • Wish to reduce the standard 30% withholding to a rate based on net income.

This includes musicians, actors, comedians, athletes in events like boxing or tennis, and similar professionals. Groups or ensembles must submit individual applications for each member, such as band members or backup performers.

Note that the CWA program is not available for all NRAs—it’s specifically tailored for those in the entertainment and sports industries engaged in a U.S. trade or business. If you’re a foreign artist or athlete without prior U.S. tax compliance (e.g., filing Form 1040NR), you may need to address that before applying.

Eligibility Requirements for a Central Withholding Agreement

To qualify for a CWA using Form 13930, applicants must meet several IRS criteria:

  • Taxpayer Identification: Provide a Social Security Number (SSN) or Individual Taxpayer Identification Number (ITIN). If you don’t have one, apply for an ITIN via Form W-7 or an SSN if eligible.
  • Compliance History: Be in full compliance with U.S. tax filing and payment obligations for prior years, including Forms 1040NR or 1040NR-EZ.
  • Withholding Agent: Designate an independent third-party withholding agent with a U.S. bank account and enrolled in the Electronic Federal Tax Payment System (EFTPS). This agent cannot be related to the NRA.
  • Budget Projections: Submit a detailed budget showing projected gross U.S.-source income and allowable expenses, ensuring the CWA doesn’t reduce withholding below the expected tax liability.
  • Timely Submission: Applications must be received at least 45 days before the first U.S. event; late submissions will be denied.

Authorized representatives can apply on behalf of the NRA but must include a signed Form 2848 (Power of Attorney) or Form 8821 (Tax Information Authorization).

Step-by-Step Guide: How to Fill Out and Apply Using Form 13930?

Filling out Form 13930 involves gathering documentation and providing accurate projections. Here’s a breakdown:

  1. Gather Required Information:
    • NRA’s name, SSN/ITIN (if known), and contact details.
    • Details of each U.S. event, including dates, locations, and promoters.
    • A penalty of perjury statement signed by the NRA or representative.
  2. Prepare Supporting Documents:
    • For entertainers: Contracts, itineraries, budgets (in spreadsheet format) itemizing income (e.g., ticket sales, merchandising) and expenses (e.g., travel, management fees).
    • For athletes: Bout agreements, endorsement deals, event details, and expense lists.
    • History of prior U.S. services and CWAs, plus verification of withholding on non-CWA income.
  3. Complete the Form:
    • Use the application form at the end of the PDF instructions.
    • Include a cover letter explaining the request and attachments.
  4. Submit the Application:
    • Fax to 1-866-715-1507 or mail to: Central Withholding Agreement Program, Internal Revenue Service, 24000 Avila Road, MS 6040, Laguna Niguel, CA 92677.
    • Eligible applicants can use Secure Messaging for follow-up communications.
  5. Post-Submission Process:
    • The IRS assigns a Tax Specialist; contact them within 3 business days for status.
    • If approved, sign the CWA along with the withholding agent. The agreement becomes effective only after all signatures.
    • The withholding agent handles deposits via EFTPS and files Forms 1042 and 1042-S.

The estimated time to complete the form, including recordkeeping and preparation, is about 12 hours.

Benefits of Applying for a CWA with Form 13930

Opting for a CWA offers several advantages:

  • Reduced Withholding: Pay taxes based on net income, potentially lowering the effective rate.
  • Improved Cash Flow: Retain more earnings upfront, which is crucial for touring professionals.
  • Compliance Assurance: Ensures accurate tax handling and avoids over-withholding refunds delays.
  • Flexibility for Multiple Events: Covers tours or series of performances under one agreement.

Common FAQs About IRS Form 13930

  • What if my application is late? It will be denied if received less than 45 days before the event.
  • Can groups apply together? No, each individual must submit a separate Form 13930.
  • What happens after approval? The NRA must file a U.S. tax return (e.g., Form 1040NR) for the year, and the withholding agent provides a final accounting.
  • Are there penalties for inaccurate information? Yes, providing false details can lead to criminal penalties under the Privacy Act.

For more details, download the official Form 13930 PDF from the IRS website.

Final Thoughts on Navigating Form 13930

IRS Form 13930 simplifies tax withholding for nonresident entertainers and athletes, making U.S. performances more financially viable. By understanding the application process and ensuring timely submission, you can secure a CWA that aligns withholding with your actual tax obligations. Always consult a tax professional for personalized advice, and stay updated via the IRS website for any changes in 2026 and beyond. If you’re planning U.S. events, starting your Form 13930 application early is key to success.